Understanding Duration
Duration Definition and Its Use in Fixed Income Investing
Duration is a measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates.
Understanding Duration - PIMCO
As the table below shows, the shorter a bond's duration, the less volatile it is likely to be. For example, a bond with a one-year duration would only lose 1% ...
Duration: Understanding the Relationship Between Bond Prices and ...
Bond prices and interest rates move in opposite directions, so when interest rates fall, the value of fixed income investments rises, and when interest rates ...
Investment Fundamentals: Bond Duration - SEI
Duration was initially conceived as a measure of how long it takes an investor to be repaid a bond's price by its total cash flows.
Duration - Definition, Finance, Types, Formulas
Duration is one of the fundamental characteristics of a fixed income security (eg, a bond), alongside maturity, yield, coupon, and call features.
Understanding bond duration | Morningstar
Duration is a tool that helps investors anticipate and understand price fluctuations that are due to interest-rate movements.
Duration: a measure of bond price volatility - Nuveen
Typically duration is calculated based on the date to which the bond is priced. A premium bond, which is redeemable at par sometime before ...
Why duration is an important measure when comparing individual bonds and constructing bond portfolios. An explanation of the concept of convexity and how it ...
Duration & Convexity - Fixed Income Bond Basics | Raymond James
Duration and convexity are two metrics used to help investors understand how the price of a bond will be affected by changes in interest rates.
Duration is a characteristic of a bond. For fixed-coupon bonds, duration can be intuitively defined as the average maturity of all bond payments.
Interest Rate Risk: Understanding Duration and Convexity
Duration is a measure of a bond's sensitivity to changes in interest rates, which takes into consideration all cash flows of a bond— both principal and interest ...
Bond duration: Price, yield, and time to maturity - Britannica
Bond duration is a fundamental concept in fixed-income investing. It measures the sensitivity of a bond's price to changes in interest rates.
Making sense of duration sensitivity - Fidelity Singapore
Duration measures the sensitivity of a bond, or a portfolio of bonds, to changes in interest rates (interest rate risk).
Brush Up on Bonds: Interest Rate Changes and Duration | FINRA.org
Bond duration is a measure of the degree to which a bond investment is likely to change in value if interest rates were to rise or fall.
What Is Bond Duration? Definition, Formula & Examples - TheStreet
Bond duration is a measurement that tells us how much a bond's price might change if interest rates fluctuate. Its full definition is actually a ...
Bond duration demystified: A guide for fixed-income investors
Duration is a way to measure the interest rate risk of a bond and is a critical factor in fixed income investing.
Bond Duration Explained Simply In 5 Minutes - YouTube
Ryan O'Connell, CFA, FRM explains bond duration simply. Chapters: 0:00 - Bond Duration Definition 0:27 - Key Factors Affecting Bond Duration ...
The "Understanding Duration" tip sheet in the BondWorks Learning Center on the Tools page comprehensively explains how interest rate changes affect bond prices.
Understanding Bond Duration New.ai - Invesco Mutual Fund
Knowing the Modified Duration of a debt fund portfolio, helps investors understand the price sensitivity of the debt fund portfolio to interest rate risk and ...